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CrowdStrike Holdings (CRWD) Gains But Lags Market: What You Should Know

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In the latest trading session, CrowdStrike Holdings (CRWD - Free Report) closed at $253.55, marking a +0.52% move from the previous day. This change lagged the S&P 500's 0.82% gain on the day.

Coming into today, shares of the cloud-based security company had lost 1.7% in the past month. In that same time, the Computer and Technology sector gained 1.27%, while the S&P 500 gained 3.89%.

Investors will be hoping for strength from CRWD as it approaches its next earnings release. In that report, analysts expect CRWD to post earnings of $0.09 per share. This would mark year-over-year growth of 200%. Our most recent consensus estimate is calling for quarterly revenue of $323.97 million, up 62.83% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.40 per share and revenue of $1.36 billion. These totals would mark changes of +48.15% and +55.64%, respectively, from last year.

Any recent changes to analyst estimates for CRWD should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.82% higher. CRWD is currently a Zacks Rank #2 (Buy).

Valuation is also important, so investors should note that CRWD has a Forward P/E ratio of 623.67 right now. Its industry sports an average Forward P/E of 68.17, so we one might conclude that CRWD is trading at a premium comparatively.

Also, we should mention that CRWD has a PEG ratio of 24.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Software industry currently had an average PEG ratio of 3.57 as of yesterday's close.

The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 204, putting it in the bottom 20% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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